Argentina austerity not up for discussion, Milei says

Argentine President Javier Milei said Wednesday that austerity was “not up for discussion” and that he would not soften his fiscal policies ahead of the 2027 presidential election.

Speaking at a liberal forum in Buenos Aires, Milei said many people had asked him to ease pressure before the vote. “We are not going to do that,” he said. He also said his government would not negotiate monetary policy and would continue until it had “finished defeating inflation.”

Combating inflation has been a central aim for Milei since he took office in 2023, when Argentina's annual inflation rate was in triple digits. Year-on-year inflation was 33.8 percent as of July.

Milei acknowledged that without results, “it becomes hard to get support.” His cost-cutting policies have drawn anger as consumption, employment and household debt come under strain.

Argentina's industrial business association warned Wednesday that “the economy is not measured solely by inflation” and flagged the loss of 90,000 industrial jobs over three years.